The makers of a health-food cereal increased sales by offering a $2.00 rebate to purchasers. Sales rose during the rebate period, then fell below pre-rebate sales numbers when the rebate ended. The author of your textbook would explain this by suggesting that _____.

Question

Quizplus · Accepted Answer

The author would likely suggest that the extrinsic reward (the rebate) decreased the intrinsic value purchasers placed on the cereal, meaning that once the rebate was removed, the cereal was less appealing without the additional incentive.

The Makers of a Health-Food Cereal Increased Sales by Offering